This blog post originally appeared on RealMoney Silver on July 19 at 7:40 a.m. EDT.
"I am ugly, but I have a beautiful mind." -- Nouriel RoubiniYesterday afternoon, Nouriel Roubini was the speaker at the Summer Institute lecture series at the Jewish Center of the Hamptons. I attended Nouriel's talk on Sunday, having previously presented my own talk at the Temple's Summer Institute lecture series exactly a year ago in the same forum and on the same subject: the economy and the stock market. In the interests of full disclosure, I have been critical (perhaps, at times, too critical) about:
- the way in which the media have embraced Nouriel;
- in Nouriel's apparent inflexibility and dogma; and
- in his inaccurate stock market forecasts.
- How can he explain the schmeissing in U.S. equities when, at the same time, certain risk measures (lower bank swap spreads, Libor, junk bond yields, a higher euro, etc.) and risk markets appear to have stabilized?
- Could the U.S. stock market be attractive in light of generally reduced economic expectations and lower corporate profit assumptions?
- Could the U.S. stock market be attractive with markets selling at less than 12x realistic 2011 S&P 500 profits vs. an historical average of 15.5x and at 17.0x when interest rates and inflation are quiescent?